Behind every great startup there is a great advisor. Startup advisors have had years of experience helping businesses take that next step by supporting them in setting up their business or even using their contacts to put startups in touch with potential investors.
It is important to pick an advisor that has relevant experience working with businesses in your industry so that they have a clear understanding of what is required to succeed. Knowledge of a market is important, but having an advisor who has extensive experience working with startups is far more useful to a business than having all that knowledge.
What do Startup Advisors do?
A startup could have the right idea (and a product or service to match), but if they have no experience in the market with minimal connections they could hit their first stumbling block. This is where an advisor comes in, providing the startup with a person to come to when they require assistance or guidance. There isn’t a set of specific roles for advisors that are suitable with every startup, it all depends on what the needs are of the business and this changes from startup to startup.
An advisor’s role varies depending on factors such as the stage the startup currently finds themselves at. For example, if you are at the early stage of business development then it may be more useful to use their experience and knowledge in this market to help you develop your product and give you support in preparing your startup for launch.
However, if you already have an established startup with a product that has had small levels of success, but looking to scale up, then an advisor can use their pitch deck expertise to help you prepare a solid pitch to use with investors. They can also help you come up with objectives and key goals you are looking to achieve in your scaleup. Through their previous experiences with startups, advisors will have an array of potential VCs that are looking to invest in startups that they can connect you with.
The overall use of advisors is to help you, so make sure you ask for help in whichever area you feel that your advisor would be best utilised within your business.
Why Have a Startup Advisor?
Connections and Knowledge
As mentioned before, the knowledge and connections that an advisor can bring to a business can change its fortunes massively. An advisor can help fill in the gaps that are there and propel the business to the next level. By doing so, they are passing on knowledge to those within the business that will be valuable for them. This could be regarding legal documents, marketing strategies, or understanding the target market.
Someone You Can Trust
It is vital that you are able to trust your advisor from the moment you start working together. Having someone you can trust to tell you the truth can be pivotal in your success. Unfortunately, it’s easy to become blind to some glaring red flags and pitfalls. A good advisor will tell you what needs to be said, even if it is not what you want to hear.
Therefore, having a good relationship with your advisor is a must. You may not agree with them all the time, but making sure you can communicate freely leads to a great working relationship.
A Startup Advisor is a Soundboard
An advisor is a great person to run past any ideas that you have and may look to use. They will go through the finer details with you. This therefore helps you see if some finer points need tweaking before launch.
Running a business can be very stressful and sometimes you need to let off a bit of steam. That is why having someone you can trust is key – they can help relieve some of the burden.
A Startup Advisor Focuses on Seeing the Business Succeed
Advisors are willing to put the time and effort in to see your company succeed. This is especially true if they themselves have become a seed investor in the early stages. Advisors hope to guide and work with you as your startups grows. As your goals become bigger and more ambitious, their help becomes all the more critical.
An advisor can be a great addition to a startup at any stage of the process. However, you must be able to visualise where you want your business to go. This is so an advisor can help you on your journey to realising those goals. At 7startup we have a team of highly experienced advisors who love to work with startup businesses. We’re experts in connecting founders to investors. We can even help construct marketing strategies and pitch decks to give you all the necessary tools to succeed.
Amit has 18 years of experience in the industry and an MBA. He supports entrepreneurs with every aspect of their business including concept and product development, investor presentations, and fundraising. Amit & 7startup assist startups in the pre due-diligence process and help connect them to our vast network of investors. Still not convinced a startup advisor can provide useful insights for your startup? Read some of our other blogs like Why do Startups Fail?, Taking Your Scaleup Global, and How to Obtain SaaS Funding.
Reach out to us today and see if we’re a fit!